TLDR
- Top dogs at Binance, specifically Changpeng Zhao (CZ) and Yi He, have quashed hearsay that the crypto giant is looking to sell. CZ did suggest that they might be open to offers for minor stakes in the ballpark of a ‘single-digit percentage.’
- Talk of the exchange's potential sale spiked when people noticed Binance's asset holdings had taken a dip. Yet, the company clarified that this was merely part of their regular bookkeeping routine.
- Yi He implied that Binance is keener on snapping up other exchanges rather than mining for a buyer, and has signaled green lights to those thinking about selling to reach out.
- CZ blamed the baseless sale rumors on a mischievous competitor hailing from Asia spreading falsehoods.
- The exchange continues to grapple with regulatory eyes on it, including a probe in France looking into supposed money laundering activities. Meanwhile, their case with the SEC in the US is on a 60-day hold.
Firmly denying sale rumors, Binance’s duo, Changpeng Zhao (CZ) and Yi He, indicated they might let go of small ownership slivers to new investors down the road.
Taking to social media platform X on February 17, 2025, CZ rebuffed the swirling gossip about selling the largest crypto exchange out there, pointing fingers at a competitor in Asia for spreading the fabricated stories.
An insignificant self-declared competitor indulged in stirring the pot about Binance (CEX) being on sale.😂
As a stakeholder, I can say Binance isn’t up for grabs.
Top players have always shown an eye for Binance. We might dip our toes into allowing a handful of single-digit percentage investments over time.🤷♂️
— CZ 🔶 BNB (@cz_binance) February 17, 2025
Buzz about the exchange’s status picked up steam when observant users noticed significant flux in Binance's holdings, including Bitcoin, causing curiosity about its financial health. Binance stepped up to explain these shifts as routine treasury activities, underscoring that user funds remain guarded and intact, backed one-to-one.
Echoing CZ’s statements, Yi He, Binance’s chief in customer service, reinforced the denial of sale gossip. She even mentioned that Binance is better poised to buy than sell and invited potential sellers to reach out.
Although firmly denying intentions for a full-on sale, CZ did let slip that top investors could eventually be welcomed to pick up a small piece of the pie. “In the future, allowing investment in the single-digit range could be possible, he hinted, alluding to a shift from its traditionally private ownership strategy.
Regulatory Challenges
Speculation over potential sale grew once a viral post on Chinese social media hinted at Binance contemplating a sale because of regulatory headwinds and a pivot towards decentralized exchanges (DEXs). This post, however, dropped no hints about possible new owners.
Despite mounting competition from other centralized exchanges and various regulatory challenges, Binance keeps the wheels turning, processing billions of dollars in trades daily, solidifying its stance as a dominant force in the cryptocurrency space.
In France, authorities have initiated an inquiry into Binance over accusations of money laundering and tax evasion. The Paris Public Prosecutor’s Office is digging into matters from 2019 to 2024, examining possible links to drug trafficking-related laundering. Binance has stoutly rejected these claims.
Legal battles in the U.S. seem to be on a temporary halt. The SEC and Binance together agreed to pause their case for 60 days, a move approved by the court, before deciding whether to extend the pause or reignite proceedings.
This development follows After serving a four-month prison term for pleading guilty to U.S. Anti-Money Laundering violations, CZ left his CEO role, passing the baton to Richard Teng, who now leads with a keen focus on regulatory adherence. Binance assures the public that recent asset movements were purely administrative and not a hint at selling plans. They emphasize that user assets are secured and fully backed.
Based on Yi He’s statements, while interest from external investors is already at the table, Binance isn’t looking to dilute its shares yet. Any future openness to minor investments might be a strategic step to bolster their finances while retaining control.
The current ownership of Binance remains tightly held with CZ commanding a major stake in the outfit. Any future choices to welcome external investments would mark a significant shift, potentially inviting institutional players to own a slice of this powerhouse in the crypto trading platform.
Recent events showcase that despite asset movements sparking whispers within the crypto circle, co-founders have stood firm ruled out selling. Instead, Yi He hints at potential takeover moves rather than being taken over.
Maisie is a veteran in Crypto & Financial news, contributing to platforms such as Moneycheck.com, level-up-casino-app.com, Computing.net, and holds the title of Editor in Chief at Blockfresh.com
